The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1887-10-03
THE CRAXE SuBNlDING
Threatened Hail OF the Great Rea
Estate Boam I'm California

ing betters terms the band of music
in big wagon has to foot louder and
longer TO get up an excitement; the
real estate Offices begin to display
tempting Offers" men who, some
months ago demanded a third down
and got it are now willing to take ~
per cent. down-the balance in six
months and year, or even the
balance at your convenience. Then
there is the other kind of real estate
man, who announces in large letters
that the lots remaining unsold two
weeks hence will be Withdrawn from
sale, or that the price of lots will be
raised by 10 per cent. on every Mon
day hereafter, and now is your
chance"
Meantime prudent men are quietly
awning out, realizing what they can,
d there are portentious rumors OF
wash" or fictitious sales. Indeed,
some newspapers in the State ars
honestly warning the public to be.
ware. Here and there a boom"
has broken down, fzzled out, got
stranded.
Is THEREA FRAUD IN THE BooMf
The San Francisco Argonaut de-
clares its belief that the boom in San
Francisco and its neighborhood con-
tains large element OF fraud. Here
is the frank language which that
paper uses.
Money maybe as irrevocably and
foolishly lost in city lot or suburban
property as in worthless niue. To
sell piece of California land to a
foreigner or Eastern capitalist who
desires to hold it for rise, even il
he does not intend to improve it, ma ,
be endurable. and may from one
point Of view be desirable. But for
Californians to get up these specu-
lative sales, trading among them
selves, the result will in the end
be simply disastrous, and we shall
experience consequences as dire as
ensued from our stock speculations.
There will come a period Of reaction
from which it will take years to re-
cuperate, and thousands Of people
now out OF debt will find themselves
owning lands and lots encountered
with mortgages, with personal liabll-
tiles on notes beyond the entire value
Of property owned by them. Such
movements as this now being inaug-
urated cannot but prove injurious to
the general public. The real value
OF land advances in no city beyond
the requirement OF natural and
healthiul demand. If improvements
are precipitated beyond what are re.
quired, they reduce rent values and
arrest the progress oil the city til
they are required. Assessors in towr
and country are glad TO End an e.
cuse TO raise values and increase
taxes. Increased revenue encour
ages the local politician to increas,
expenditures land values once ad
vanced upon the assessment roll ar,
hard to reduce, while expenditure
that have become. extravagant ar,
more hard TO bring within the limit
Of prudence and economy.
FICTITIOUS SALES REPORTED.
AS an evidence that these sale
are largely fctitious-are wash
sales, TO use the parlance Of the stocl
exchanges-we ask our readers 4
note how small and unimportant ar
the published announcements Of Gu
San Francisco record Office. w
challenge the house of Easton, Ed
ridge a Co, Boyee, Toy n Co., New
halls Sons, DAVID Stern a Sons, Vo
Rhein & Co., Shainwall, Buckbee
Co., /. Strass5urger & Co., and an
other real estate booming firm, (
publish their auction sales, Riyin
the names Of purchasers and actui
amounts realized, and let the CON
munity see whether they will stan
the test OF public ~. II half Oh
real estate transactions are genuir
and bona fde for coin that chang,
hands VIC will rest our pen from boo
grumbling till the excitement is owe
Unless these firms accept this cha
lenge 10 show their hands as eyiden,
Of honest sales, We shall indulge q
belief that in the real estate boon
ia San Francisco and the surroun,
ing towns there is large element
fraud"
But il must be said that so far
the southern part Of the State is co
cerned this prophet cries in u
wilderness, and they would "hea'
arock at him" II he were with
reach az an altogether too pessimis
prophet for these times.
FANCY PRICES PETERISo OUT.
II doubt" said San FranciscI
here the other day, whether the
is house anywhere of Montgome
or Market street in Frisco that W
sell for moro today than II wou
have brought two years AGO; al
that seems TO me fair test for bu
mess man who has money 10 put In
city lots. But there has been
boom with US. Oh, yes, Of courl
boom in sand lots out near I
park. Things you could have bong
two years ago for t5a front foot ha
brought Si5; and when a man bu
that sort Of property he needs
cover II up quick 10 keep il ir,
blowing away. Oh, yes, VIC had
boom. We've got lot OF fools, Il
but it's about petered out, | quo
aud the fellows who have got IN,
money Ia will not get IL out "
soon"
How long can Il last down her,
Heaven only knows. There
been, 80 far, no shock TO confdon
But look herc-vory few people /
cash down for what they are buyi
because very small proportion
buyers mean TO hold. The uniyer
rule has boon one third down a
the balance In six months and a "
OF late sellers are taking a tci
down, which j. sign that the buy
arc less eager. Well, some Of
made a calculation the other
which is startling. II is that, TAX
the whole country between San Di
and Sacramento, in which the ~
ulation has been most rampant,
deferred payments, due In Move